5 Worst Sectors to Avoid This Week

This week, the Computer and Personal Electronics, Computer and Personal Electronics, Energy Services, Oil and Gas, and Semiconductor sectors look weak according to Portfolio Grader[1].

The Metals and Mining sector looks weak, with 77% of its stocks (72 out of 93) rated a “sell”. With an overall grade of F, Cliffs Natural Resources (NYSE:CLF[2]), Walter Energy Inc. (NYSE:WLT[3]), and Thompson Creek Metals (NYSE:TC[4]) are weighing down the sector. The worst performer in this sector is Cliffs Natural Resources, which saw its price sink 69.1% in the last 12 months. This is worse than the S&P 500, which has seen a 13.1% increase over the same period.

The Computer and Personal Electronics sector is trailing behind others this week, with 62% of its stocks (13 out of 21) rated a “sell”. Diebold (NYSE:DBD[5]), QLogic (NASDAQ:QLGC[6]), and Hewlett-Packard (NYSE:HPQ[7]) are dragging down the sector overall, each earning a low grade of F. Hewlett-Packard is the worst performer in this sector, with a 12.6% decline in the last 12 months.

The Energy Services sector is lagging this week with 61% of its stocks (33 out of 54) rated a “sell”. Among Energy Services stocks, Gulfmark Offshore (NYSE:GLF[8]), Key Energy Services (NYSE:KEG[9]), and Nabors Industries (NYSE:NBR[10]) are lingering near the bottom with grades of F. Key Energy Services is performing worst overall in the sector, with a 45.3% decline over the last 12 months.

With 60% of its stocks (121 out of 201) rated “sell,” the Oil and Gas sector is struggling this week. Out of the Oil and Gas stocks, Enerplus (NYSE:ERF[11]), Swift Energy (NYSE:SFY[12]), and Newfield Exploration (NYSE:NFX[13]) are near the bottom with F’s. Over the last 12 months, Swift Energy is the worst performer in this sector, with a 49.7% decline.

The Semiconductor sector is dragging, with 57% of its stocks (47 out of 83) rated a “sell”. Cypress Semiconductor (NASDAQ:CY[14]), Atmel (NASDAQ:ATML[15]), and Advanced Micro Devices (NYSE:AMD[16]) are all currently earning F’s. Advanced Micro Devices is the worst stock in its sector, with the company’s share price falling 52.9% in the last 12 months.

Louis Navellier’s proprietary Portfolio Grader[1] stock ranking system assesses roughly 5,000 companies every week based on a number of fundamental and quantitative measures. Stocks are given a letter grade based on their results — with A being “strong buy,” and F being “strong sell.” Explore the tool here[17].